The Barracuda Networks Inc. (Nasdaq: CUDA) stock price soared 13% today (Wednesday) to a 52-week high of $26.69 after posting strong quarterly earnings.
But there's an even better profit play that we recommend in the growing cybersecurity field.
Before we get to our pick, here's everything investors need to know about the soaring CUDA stock price today...
Barracuda Networks sells a suite of security and storage appliances and services. These products help customers detect and prevent security threats, store data, and improve network performance. Barracuda works mostly with mid-sized companies, which CUDA says is an underserved market.
CUDA has built its business on being an "affordable," and it places a strong emphasis on subscriptions. It doesn't compete in the next-generation cybersecurity space.
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Barracuda stock hit the market on Nov. 6, 2013. Shares were priced at $18, the low end of the $18 to $21 range. The CUDA stock price opened its first day of trading at $22.80.
The company had several years of steady double-digit revenue growth in the high teens and was consistently profitable. But things changed in 2015 when CUDA posted three straight quarters of disappointing numbers.
But as the company revamped its product line toward the faster-growing cloud and virtual-based products, CUDA has now reported its third straight earnings beat...
Here are some of the biggest numbers driving the CUDA stock price today:
Clearly, CUDA is in turnaround mode and has some great potential.
But there's a better way to play the cybersecurity boom. The CUDA stock price may be soaring, but this pick has plenty of upside and is a much safer play...
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The Pure Funds ISE Cyber Security ETF (NYSE Arca: HACK) is the world's first cybersecurity exchange-traded fund (ETF) to offer investors a way to invest in this evolving and lucrative industry.
Since 2009, reported cybersecurity incidents have grown at a YOY compound annual growth rate of 66%. Cybersecurity companies are poised to benefit from increased incidents that will generate further demand for their hardware, software, and services.
HACK debuted on Nov. 12, 2014, and has become the go-to investment in the cybersecurity space.
The fund invests in 35 companies that offer hardware, software, consulting, and services to defend against cybercrime. Holdings include some of the biggest names in the cybersecurity space, as well as some newer players.
HACK has a market cap of $718 million and offers a diversified way to tap a basket of the best cybersecurity players. It is a liquid, transparent, and low-cost investment. At $26.84, HACK is up 14% over the last six months.
Here's our full recommendation of the HACK ETF and why it is one of the best investments to make today...
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